Oilwell: Team Management

TRW—Oilwell Cable DivisionBill Russell was acting general manager of TRW and now he is being appointed as general manager with an assignment of lay off twenty people or achieves an equivalent reduction in labor cost. The Oilwell Cable Division is part of the Industrial and Energy Segment of TRW that represent 24 percent of its sales and 23 percent of its operating profits. The Oilwell Division is a acquired business by TRW what was Crescent Wire and Cable Company of Trenton. The four reasons for moving the Oilwell cable (Crescent Wore and Cable Company) from Trenton to Lawarence are

• Lawerence is considerably closer to the customer
• Lawerence has a more supportive labor environment.
• The wage rate for the Lawerence area are very reasonable • There is an already existing buildingGino stripoli, formal general manager, was gien the task to start operations in Lawrence and he established new management system. He established eleven team relating the activities and all teams were doing their jobs very well. There is also a co-ordination team.

The team is successful. Though there were some problems initially. There was a good deal of mistrust among employees regarding management’s motives. There were also some technical problems. But after two years Gino solved the problems.

Though TRW has ten competitors in the cable market, its market mainly depends on the demand of the submersible pumps. Because the basic product produced by the Oilwell Cable Division is wire that provides power to submersible pumps used in oil drilling.

Question: 1
Evaluate team management at TRW’s Lawrence plant. What
organizational behavior system is it most similar to? Does it reflect theory X or theory Y assumptions?
Answer:
•
There were in total 11 teams where five production teams are formed around the production process.
•
Each team meets on a weekly basis or as needed and resource team meets every two weeks. That increases the coordination between the team and...

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